36 lines
1.1 KiB
Markdown
36 lines
1.1 KiB
Markdown
# SMA
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Simple Moving Average
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[Resource 1](https://www.investopedia.com/terms/s/sma.asp)
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A simple moving average (SMA) calculates the average of a selected range of prices, usually closing prices, by the number of periods in that range.
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Simple moving averages calculate the average of a range of prices by the number of periods within that range.
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A simple moving average is a technical indicator that can aid in determining if an asset price will continue or if it will reverse a bull or bear trend.
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A simple moving average can be enhanced as an exponential moving average (EMA) that is more heavily weighted on recent price action.
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## Formula
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SMA = (A1 + A2 + ... + An) / n
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An = price of an asset at period n
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n = the number of total periods
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[Tutorial](https://mql4tutorial.com/mql4-tutorial-english/mql4-tutorial-basics-11-how-to-calculate-a-simple-moving-average)
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```mq4
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double sma = iMA(_Symbol, _Period, numOfCandles, 0, MODE_SMA, PRICE_CLOSE, 0)
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```
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## Calculation process
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```pine
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pine_sma(source, length) =>
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sum = 0.0
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for i = 0 to length - 1
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sum += source[i] / length
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sum
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plot(pine_sma(close, 15))
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``` |